Savings Help for People with Disabilities

R Yasick

A new state law allows Alabamians with disabilities to save for their future needs without adversely affecting their benefits from programs such as Supplemental Security Income (SSI) and Medicaid.

Under the Achieving a Better Life Experience (ABLE) Act, people with disabilities can put up to $14,000 a year into a tax-exempt savings account to pay for expenses that enhance their quality of life. Family members and friends may contribute, and total assets can grow to as much as $100,000 without disqualifying the account holder from SSI and Medicaid.

Previously, people with disabilities were ineligible for such benefits if they had more than $2,000 in assets. AARP Alabama supported the legislation.

For more information, go to EnableAL.com or call the program toll-free at 866-833-7949.